Brazil might be the 3rd largest producer of biodiesel in the world in 2010

In 2010, Brazil continued the growth with the beginning of the compulsory mixture of 5%. The national production increases following the evolution of the compulsory mixture. The data of biodiesel production in Argentina were published last Friday (14) in one report of the Câmara Argentina de Energias Renováveis (Cader). In 2010 the production of biodiesel of the neighbors reached 2.15 billion liters, an increase of 58% in relation to the 1.36 billion liters in 2009.

Based on these statistics already published and on market trends, the entity believes that Argentina will raise from the fifth to the fourth position in the world ranking of production of biodiesel in 2010, right behind Brazil, that might raise from the forth to the third position. Germany and France might repeat the first and second position, respectively, and the United States might fall from the third to the fifth position.

The government of the United States has not published the data of production in the last three months of 2010 yet, but the monthly volumes show that the production dropped dramatically last year, due to the end of subsidy of 1 dollar per gallon in the national market and to restrictions to export the product to the European market.

Perspectives

This year, the trend in Brazil is that the discussion on the new regulatory mark is intensified and an increase of mixture is difficult. Therefore, Argentina has good perspectives to this year. The government has discussed with plants, refineries and assembly plants about the possibility of increasing the compulsory mixture to the B10 from the second semester. With the beginning of the B7 in the neighbor country in July, last year, the Argentinean cumulative production from June to November was superior to the Brazilian one.

Ranking Evolution of the world biodiesel production

Rank 2007 2008 2009 2010 (projection)

1 Germany Germany Germany Germany

2 USA USA France France

3 France France USA Brazil

4 Italy Brazil Brazil Argentina

5 Brazil Argentina Argentina USA

6 Austria Italy Spain

7 Argentina Malasia Italy

8 Portugal Belgium Malasia

9 Spain Poland Belgium

10 Malasia Portugal Poland

Source: Alice Duarte - BiodieselBR.com